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Innovation and location in German knowledge intensive business service firms

Author

Listed:
  • Brunow, Stephan

    (Institute for Employment Research (IAB), Nuremberg, Germany)

  • Hammer, Andrea

    (Karlsruhe Institute of Technology, KIT)

  • McCann, Philip

    (The University of Sheffield)

Abstract

"Knowledge Intensive Business Services (KIBS) are widely perceived as being important drivers of technological progress and innovation. KIBS are generally understood as depending, driving and thriving on knowledge exchanges and therefore, geographical proximity to markets, customers and suppliers would be expected to be a critical factor in their performance. This paper investigates how the innovation performance and processes of KIBS firms are related to their distance from the nearest city and also to the size of the nearest city. For this purpose we make use of detailed firm level data and consider Germany as a research field. While most current evidence on this topic emerges from Canada, we complements and add to this existing literature on the geography of KIBS by examining these issues in the German spatial setting which largely conforms to a textbook type of spatial urban hierarchy. Our probit results indeed find that there are very strong distance decay and city size effects, and these also vary according to the innovation type." (Author's abstract, IAB-Doku) ((en))

Suggested Citation

  • Brunow, Stephan & Hammer, Andrea & McCann, Philip, 2017. "Innovation and location in German knowledge intensive business service firms," IAB-Discussion Paper 201722, Institut für Arbeitsmarkt- und Berufsforschung (IAB), Nürnberg [Institute for Employment Research, Nuremberg, Germany].
    • Handle: RePEc:iab:iabdpa:201722
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    References listed on IDEAS

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    Cited by:

    1. Li, Xiaoying & Tan, Ying, 2020. "University R&D activities and firm innovations," Finance Research Letters, Elsevier, vol. 37(C).

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    More about this item

    Keywords

    Bundesrepublik Deutschland ; Innovation ; regionale Faktoren ; Stadt-Umland-Beziehungen ; unternehmensbezogene Dienstleistungen ; Wissensarbeit;
    All these keywords.

    JEL classification:

    • L84 - Industrial Organization - - Industry Studies: Services - - - Personal, Professional, and Business Services
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • D22 - Microeconomics - - Production and Organizations - - - Firm Behavior: Empirical Analysis

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